SP Tulsian of sptulsian.com is of the view that Can Fin Homes has target of Rs 190. He feels the stock looks quite undervalued.

Tulsian told CNBC-TV18, "Can Fin Homes has come out with good numbers with EPS of Rs 26 for whole of FY13. This is housing finance company promoted by Canara Bank . It has loan portfolio of about Rs 4,000 crore, they have borrowing of about Rs 3,000 crore, the dividend payout is of 40 percent and in this last one year the company has raised their Pan India presence. Earlier maybe about a year or 15 months back they had about 55-56 offices across India which now got raised to about 70 offices with Pan India presence."

He further added, "The kind of growth which we have been seeing for housing finance companies, even in case of this company the EPS for FY12 was close to about Rs 21 which now has got increased to Rs 26.40 for whole of FY13. It means we have seen an increase of about 25 percent in the bottomline. In spite of the higher EPS of Rs 26 company has declared a dividend of just Rs 4 to plough back the profits to earn the interest on the housing finance, which is again a prudent strategy."

"If you really see the re-rating of the housing finance stocks, there are very few stocks available, people are not trusting the stocks like Dewan Housing , but they have limited choice like HDFC or maybe LIC Housing Finance . But even this stock looks quite good, maybe with a good parentage of Canara Bank, good respectable holdings by the high networth individuals (HNI)."

"Share is ruling at a price-to-book of 0.8, the present book value of the share is close to about Rs 190. If you see the expected EPS of Rs 30 for FY14 the share is again ruling at a PE multiple of close to 5, on the historic earnings it is ruling close to 6. All these things make the stock quite cheap, quite undervalued and one can take a price target of about Rs 190 which is the present book value of the stock at least in next six months or so."

Disclosure: I do not have holdings or interest in the stock discussed.